Ahold suspends Bfresh small format concept

Published reports last month stated that Ahold Delhaize, the parent company for Giant, Food Lion and Stop & Shop, is suspending its small-format Bfresh brand and will not open Bfresh stores in Philadelphia, as previously announced. The company still plans to make use of the spaces it has leased, though.

In addition, Ahold's 3,700 SF Everything Fresh grocery store on Walnut Street in Center City has closed.

Last year the company announced that it would open Bfresh stores at Second and South Streets, Bainbridge Street and University City.

Sprouts Farmer's Market coming to Philly, South Jersey

Sprouts Farmers Market, an organic and natural foods grocer with 268 stores in 15 states, is reportedly planning on a new store in Philadelphia, PA and Moorestown, NJ. Both stores would represent the first in each state.

The Philadelphia store is planned for Lincoln Square at Broad Street and Washington Avenue in South Philadelphia, a mixed-use development that Kimco is involved in. The Moorestown store would inhabit part of the space in the Moorestown Mall that Macy's recently vacated.

Sprouts expansion to the northeast comes at a time when sales of organic food has been soaring in the U.S. Until recently, Whole Foods has owned most of the organic market in Greater Philadelphia. However, Mom's Organic Market and bFresh have recently entered the market, and several traditional and discount grocery stores - like Aldi and ShopRite - have been increasing their organic and natural foods offerings. Newcomer Lidl is expected to offer a significant variety of organics, as well.

What this all leads to is "a price war of unprecedented proportions," according to Burt Flickinger III, managing director at Strategic Resource Group.

Nationally, Sprouts had reported that they have 63 sites approved for new stores and 43 signed leases "for the coming years."

As reported previously, Albertsons (Acme) is exploring an acquisition of the Sprouts chain.

Ahold's small format Bfresh stores coming to Philly

It was reported last week that leases were signed for Ahold Delhaize's small-format Bfresh store at 2300 Bainbridge Street and 3401 Chestnut Street, both in Philadelphia.  The Bainbridge store will be on the ground floor of a new condominium complex, and the Chestnut Street location is where Eastern Mountain Sports recently closed. A store planned for Second and South Streets was announced last year.

There are currently three operating Bfresh stores in Boston, MA. Fresh Formats, a subsidiary of Ahold Delhaize, has operated the Everything Fresh grocery store on Walnut Street in Philadelphia since 2014. The store serves as a testing ground for the company's small-format concepts.

bfresh stores to add grocery items and prepared foods

bfresh, the urban fresh concept that debuted nearly a year ago, is making substantial changes. According to parent company Ahold-Delhaize (Giant, Food Lion, Hanaford, Stop & Shop, Peapod), the store plans to add hundreds of branded packaged goods - from paper towels to peanut butter - to an assortment previously dominated by fresh, natural and organic brands. Stores will also include more grab-and-go and heat-and-eat food options.

These changes are being made as Ahold continues to learn how best to meet the needs of young urban shoppers.

"Shoppers want to keep things simple," said bfresh Team Coach Patrick Blye in a recent news release. "No matter how you want to shop - like stocking up for the week, buying fresh meals every day, or stopping in for the freshest quick bite in town - bfresh has got you covered."

According to a story in Supermarket News, Philadelphia is a target for bfresh expansion.

Ahold's bfresh signs lease in Philadelphia neighborhood

Ahold confirmed last month that it signed a lease for its bfresh concept to occupy space on the ground floor of the Abbotts Square condos at 2nd and South Streets in Philadelphia's Society Hill neighborhood. Fresh Formats, the concept that evolved into Ahold's bfresh banner, has operated in Philadelphia since 2014, when it opened a 3,700 square foot store.

More recently, bfresh opened a 10,000 square foot store in Boston, MA and an 8,600 square foot store in Fairfield, CT.